[Discuss] Startup?

[Edward Ned Harvey (blu)]

> From: Discuss [mailto:discuss-bounces+blu=nedharvey.com at blu.org] On
> Behalf Of Rich Braun
> 
> but building a
> patent firewall around your idea is $100,000 at minimum 

Thankfully, not correct.  To do a bad job of a single patent would be a few hundred bucks.  Most people say it's not worthwhile to do something this cheap.  For $5k-$10k you can do a reasonable job, and if you spend $20k on a patent, you've done a really good one.


> One person in this thread suggested that in order to cash out, you'll need to
> embrace patents.  That's something for your mezzanine-level (series B or
> later) investors to decide.

The way you get your seed round investors to invest is to convince them you're going to get Series A.  The way you get Series A is to convince them you're either going to get Series B, or go public, or get acquired.  Everyone is one step ahead - If you want your Series A, you're going to have to convince them that the *next* guys are going to want to acquire you.  Even in the seed round, they all ask me what I have patented, but they let it slide.  One level up from there, they won't let it slide.  In order to get your Series A, you need to demonstrate that you're well positioned to be acquired.  So yeah, it's possible to do that without patenting stuff, depending on your particular business, but most likely you should have patents pending at that level.